What it is
Not-for-profit statements carry disclosures that business entities do not: net assets with and without donor restrictions, liquidity and availability of financial assets within one year, expenses by function and by natural classification, contributed nonfinancial assets and endowment information.
This checklist covers those items under ASC 958 as modified by ASU 2016-14, ASU 2018-08 and ASU 2020-07. It is not complete, and it omits health care, higher education and the Uniform Guidance single audit. Check the entity’s industry audit guide.
When to use it
- When preparing the notes of a charity, association or church.
- When auditing a not-for-profit for the first time.
- To check liquidity and functional expense disclosures.
What’s inside
- Net assets and restrictions
- Liquidity and availability
- Contributions, promises to give and nonfinancial assets
- Expenses by function and nature
- Investments and endowments
- Other notes
Standard cited
This template follows ASC 958. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
What is the liquidity disclosure?
Qualitative information about how the entity manages liquid resources to meet needs within one year, and quantitative information about financial assets available within one year, net of donor and board restrictions.
Where do functional expenses appear?
Expenses by function and natural classification must be shown in one place: the statement of activities, a separate statement or the notes. Disclose the allocation methods.
Is this checklist complete?
No. It is a prompt list paraphrased from the standard, not a substitute for the Codification or a full commercial disclosure checklist. Check each item against the current ASC text and any ASUs issued since the date you last checked, and add industry-specific requirements.
Related templates
- GAAP Disclosure Checklist (Private Company, Short Form)
- Disclosure Checklist: Fair Value Measurements (ASC 820)
- Disclosure Checklist: Related Parties (ASC 850)
Last updated 11/05/2026. All free templates.